INVESTIGATION OF EFFECTIVE ADAPTATION OF LEAN MANUFACTURING SYSTEM IN APPAREL MANUFACTURING LINES

Report of Industrial Training

I.U.M. Dissanayake (082168)

Department of Statistics and Mathematical Sciences Department of Computing and Information Systems Faculty of Applied Sciences Wayamba University of Sri Lanka Kuliyapitiya December 2012

INVESTIGATION OF EFFECTIVE ADAPTATION OF LEAN MANUFACTURING SYSTEM IN APPERAL MANUFACTURING LINES

This report submitted in a partial fulfillment of the requirements for the four year Bachelor of Science (Joint Major) Degree in Statistics and Computing and Information Systems

I.U.M. Dissanayake (082168)

Principal Supervisors Name: Mrs. Bhagya Munasinghe Program Coordinators Name: Dr. K.D.D.N. Dissanayake Name of the Course Module: INDT 421 Industrial Training Training Period: 02/05/2012 to 02/11/2012 External Supervisors Name: Mrs. Kokila Padmasiri Ceylon Knit Trend (PVT) LTD. Maharagama

Department of Statistics and Mathematical Sciences Department of Computing and Information Systems Faculty of Applied Sciences Wayamba University of Sri Lanka Kuliyapitiya December 2012

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DECLARATION
I declare that: a) Except where due acknowledgement has been made, the work is that of the students alone; b) The work has not been submitted previously, in whole or in part, to qualify for any other academic award; c) The content of the report is the result of work which has been carried out since the official commencement date of the Industrial training program of the faculty; d) Any editorial work, paid or unpaid, carried out by a third party is acknowledged; and e) Procedures and guidelines of the faculty have been followed

Signed: Signature

. (I.U.M. Dissanayake)

Date:

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APPROVAL FOR SUBMISSION

Internal Supervisor

: (Signature).. : (Title & Name)... : (Date)..

Program Coordinator : (Signature).. : (Title & Name)... : (Date)..

External Supervisor

: (Signature).. : (Title & Name)... : (Date)..

Assistant Registrar

: (Signature).. : (Title & Name)... : (Date)..

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ACKNOWLEDGEMENT
First of all I would like to give my special thanks to my internal supervisor Mrs. Bhagya Munasinghe for giving me so much guidance, advices, directions and valuable support to carry out this research from the very beginning. I also thank to Dr. K.D.D.N. Dissanayake, our Industrial Training Program Coordinator, for giving me guidance, advices, and directions all over the training period which helped me a lot in completing a valuable research. Then I would like to give my special acknowledge to all the lecturers and demonstrators in the Department of Statistics and Computing and Information Systems, for providing me enough guidance and support. Then I want to acknowledge Mrs. Kokila Padmasiri, Human Resource Manager, Mr. Nandana Prasanna Bandara, Work Study Manager(Knit cluster) for giving me a huge support by providing details and guidance whenever I needed and for all the departments heads and members of staff where I was assigned for training sessions. My thanks also go to my colleagues who always support and motivate me whenever I needed. Finally, I give many thanks to my family for their constant and valuable support and encouragement.

ABSTRACT
Lean Manufacturing (herein after referred to as Lean) can be considered as an effective business strategy for waste elimination through continuous improvement and lead time reduction in manufacturing processes to achieve competitive advantage over the market competitors. This technique was originated and developed in Japan. Lean is the latest technique in todays Garment Industry in Sri Lanka to face the challenges of the competitive business world. For companies to successfully implement Lean it is very much required that they understand the issues that are associated with value added and non-value added activities in their manufacturing process. Sri Lankan apparel sector especially have attempted to implement this. So this little research work is carried out regarding suitability of Lean in a selected apparel manufacturer in Sri Lanka. This research is an attempt to identify the effectiveness of two selected manufacturing lines of Ceylon Knit Trend (PVT) Ltd. (CKT), in which the Lean techniques are being implemented in its manufacturing process. The evaluation was carried out using one of the most important tools called Value Stream Mapping (VSM). This dissertation presents the finding of a research, analysis of data, discussion of the results and findings and also a conclusion over the findings. It has identified the possible waste, rationale for such waste and suggests elimination of them during the manufacturing process. As the initial stage, a literature review was carried out to study Lean Manufacturing and Value Stream Mapping (VSM). VSM was applied in a selected garment design (style) which go through two manufacturing lines during its manufacturing. The attributes for VSM was selected by matching theoretical VSM attributes into the CKT environment. Factors affecting the lead time was then identified based on those two manufacturing lines. The findings revealed can help in understanding the effectiveness of adopting Lean into mass production apparel industries in order to derive positive results such as reducing wastes in inventory and defects. Further, VSM visualization helped the managers of the company of interest to visualize the different types of wastes generated in their organization thereby future possibilities of eliminating or reducing them. The findings can be extended to similar apparel organizations in the future.

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List of Abbreviations

CKT- Ceylon Knit Trent CKTM- Ceylon Knit Trent PVT LTD, maharagama CSR- Corporate Social Responsibility C/O Change Over FIFO- First In, First Out JIT- Just In Time NVA- None Value Added VA-Value Added SWS- Standard Work Sheet TQM- Total Quality Management TPM-Total Productive Maintain VSM- Value Stream Map WIP- Work in Progress

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Table of Contents
DECLARATION .............................................................................................................. ii APPROVAL FOR SUBMISSION ...................................................................................iii ACKNOWLEDGEMENT ............................................................................................... iv ABSTRACT ...................................................................................................................... v List of Abbreviations........................................................................................................ vi 1 Introduction ............................................................................................................... 1 1.1 Organization, Structure and History ................................................................... 1 The Hirdaramani philosophy....................................................................... 1 History of the Hirdaramani ......................................................................... 2 Coparate responsibility................................................................................ 2

1.1.1 1.1.2 1.1.3 1.2

Nature of business and operation ....................................................................... 3 Hirdaramani Apparel Production ................................................................ 3 About Ceylon Knit Trend (PVT) LTD........................................................ 3

1.2.1 1.2.2 1.3 1.4

Departments, Divisions, and Sections of study .................................................. 4 Background and Rational for the research ......................................................... 5 Problem Statement ...................................................................................... 6

1.4.1 1.5 1.6 1.7 2

Study / Research Objective ................................................................................ 6 Scope of the Study/ Research ............................................................................. 7 Outline of the Report .......................................................................................... 7

Literature Review and Theoretical Background ....................................................... 9 2.1 2.2 Literature related to area of the study ................................................................. 9 Theories related to area of study ...................................................................... 10 Lean Manufacturing System ..................................................................... 10

2.2.1 3

Research Questions/ Problems ................................................................................ 19 3.1 3.2 3.3 Research Questions/ Problems ......................................................................... 19 Rational to select research question ................................................................. 20 Potential benefits to the organization by solving the question ......................... 20

Research Approach and Methodology .................................................................... 21 4.1 4.2 4.3 4.4 4.5 Research design with a rational ........................................................................ 21 Data collection strategy with rationale ............................................................. 21 Details of Design & Development of Data Collection Tools ........................... 22 Data Analysis Strategies and Rationale ............................................................ 22 Statistical Tests and Methods of Applications and Limitations ....................... 22

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4.5.1 5

Limitations ................................................................................................ 23

Data Collection and Analysis .................................................................................. 24 5.1 5.2 5.3 Details of Data Collection ................................................................................ 24 Details of responses .......................................................................................... 24 Details of data analysis ..................................................................................... 24 Value Stream Map..................................................................................... 24 Factors affecting to the efficiency ............................................................. 29

5.3.1 5.3.2

5.3.3 Evaluate performances before and after implementing the Lean manufacturing ......................................................................................................... 30 5.3.4 5.3.5 5.3.6 5.3.7 5.4 Hypothesis testing of Factory efficiency................................................... 30 Hypothesis testing of Machine Breakdown Time ..................................... 30 Hypothesis testing for Needle breakages .................................................. 31 Hypothesis testing for Defects .................................................................. 32

Results .............................................................................................................. 33 Value stream map ...................................................................................... 33

5.4.1 6

Identification of causes and alternative solutions ................................................... 34 6.1 Result Interpretation ......................................................................................... 34 Result on value stream map ...................................................................... 34 Result on multiple regression .................................................................... 35 Result on hypothesis testing ...................................................................... 35

6.1.1 6.1.2 6.1.3 6.2 6.3

Causes of the Problem ...................................................................................... 37 List of Alternative Solutions ............................................................................ 39 Solutions to the issues identified by analyzing section 6.2 ....................... 39

6.3.1

6.4 Implemented Lean activities involved in achieving the solutions given in section 6.3 ................................................................................................................... 40 6.4.1 6.4.2 6.4.3 6.4.4 6.4.5 7 Total productive maintenance (TPM) ....................................................... 41 PULL System ............................................................................................ 41 Standard Work .......................................................................................... 42 ANDON .................................................................................................... 42 Just-In-Time (JIT) ..................................................................................... 42

Discussion and conclusion ...................................................................................... 43 7.1 Limitation of this Research .............................................................................. 43 Data collection limitations ........................................................................ 43 Time .......................................................................................................... 43

7.1.1 7.1.2

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7.1.3 7.2 7.3 7.4 8

Company Terms and Regulations ............................................................. 43

Problems Encountered and Alternative Action Taken ..................................... 44 Further/Future Research Operation .................................................................. 44 Discussion and Conclusion .............................................................................. 45

Details of industrial training ................................................................................... 46 8.1 8.2 8.3 8.4 8.5 Introduction to training ..................................................................................... 46 Details of method & techniques, Tools, and equipment .................................. 47 Details of operations, process and Procedures Learned ................................... 49 Detailed of new Learning- theoretically and practically .................................. 49 Issues and Challenges Encountered and Action Taken to Overcome .............. 50

REFERENCES................................................................................................................ 51 Appendix 1 ...................................................................................................................... 53 Data sheet of before and after lean implementation.................................................... 53 Data sheet of ANDON tracking Inventory delay .................................................. 53

Appendix 2 ...................................................................................................................... 55 Statistical Analysis Results ......................................................................................... 55

List of Tables
Table 2-1. Summary of symbols commonly used in value stream mapping .................. 16 Table 4-1. Model of the work sheet for collecting data .................................................. 22 Table 5-1.Test for efficiency of before and after ............................................................ 30 Table 5-2.Test for machine Breakdown Time ................................................................ 31 Table 5-3 T-Test for Needle -Before & After ................................................................. 31 Table 5-4.Test for defects before and after ..................................................................... 32

List of Figures
Figure 2-1. The relationship between work standardization and other standards .......... 15 Figure 3-1. Fish bone diagram of the production floor ................................................... 19 Figure 5-1 Value stream map before lean implementation ............................................. 25 Figure 5-2 Value stream map after lean implementation ................................................ 28 Figure 6-1 Scatterplot of efficiency vs. machine break down ........................................ 36 Figure 6-2 Scatterplot of efficiency vs. needle breakage ................................................ 36 Figure 6-3 Scatterplot of efficiency vs. inline defects .................................................... 37

Introduction
1.1 Organization, Structure and History

From the beginning as a single retail store in the heart of Colombo's commercial district, the Hirdaramani Group has diversified in recent years to encompass the apparel, leisure, power, information technology and retail industries, Hirdaramani consist of over 30,000 employees spread across six countries and six industries. Hirdaramani group is spread across Sri Lanka, Bangladesh and Vietnam. They produce approximately 13 million articles of clothing each monthly. Hirdaramani cater to a myriad of renowned designer and high street labels including Tommy Hilfiger, Levis, Nike, M&S, Tesco, Ralph Lauren, Abercrombie & Fitch and True Religion. Among many novelties Hirdaramani has adapted and practices, they have set up the worlds first custom built green factory in Agalawatte, Sri Lanka. The initiatives reflect the policy of sustainability with the ultimate goal of becoming a completely carbon neutral organization. Hirdaramani has also been implementing successful energy saving initiatives across the entire group in order to reiterate their commitment to sustainability and to being a greener organization. The Hirdaramani commitment to being a responsible corporate citizen is reflected in their social responsibility projects currently operating across the country (Hirdaramani Group, 2012). 1.1.1 The Hirdaramani philosophy

The constant commitment to develop and the inspiration that comes from within have been the driving force behind the companys success, giving meaning and light to Hirdaramani motto Your Company, Your Future (Hirdaramani Group, 2012). 1.1.1.1 Mission To offer quality customer service through innovation, leadership and excellence while being responsive to change in a competitive global environment. Further, to instill professionalism by embracing a positive spirit of enterprise within the group, to increase global market share and do what we do better.

1.1.1.2 Vision
Design

To consistently provide meticulous, high quality products that are sought after by brand conscious customers with originality and consistent innovation

Customer First

Continuing our longstanding tradition of upholding the highest standard of customer service, we keep our customers at the forefront in all aspects of product design, production and delivery
Enable

To promote entrepreneurship from within via high quality training and support in order to enable employees to reach newer heights, maximize potential and be all they can be
Sustainability

To continue to keep a 100+ year business going strong through commitment to our people and the communities we exist in
Productivity

To engage with our workforce and deliver products with a clear understanding of market requirements and an adherence to clear and structured process
Commitment

To our people, the environment and to the communities around us 1.1.2 History of the Hirdaramani

The Hirdaramani legacy began in 1890 when, at just 16, Parma and Hirdaramani set up the first Hirdaramani retail store in Fort, Colombo. He made a name for himself in the early 1900s by introducing the concept of same-day tailoring to passengers of cruise liners that docked at the Colombo Harbor. The innovative Hirdaramani spirit took flight, emerging from these small beginnings to steadily become the one-stop manufacturing hub and diversified group that it is today (Hirdaramani Group, 2012). 1.1.3 Coparate responsibility

Sustainability is an important goal at the Hirdaramani Group, and for us sustainability is about corporate responsibility. Responsibility for protecting our environment, assisting the communities around us and enabling and empowering our employees has always

been part of Hirdaramani culture. They believe that this is the foundation for success and for building a more sustainable industry. The Hirdaramani Group's eco-friendly factory 'Mihila' has been awarded

CarbonNeutral certification making it the first Apparel Factory in Asia to achieve this distinction. The certification is awarded by The CarbonNeutral Company, a global provider of carbon reduction solutions. All Hirdaramani companies are committed to being a zero carbon company The Hirdaramani Group has been investing in the future of young Sri Lankans for many years. Their education program covers a range of CSR initiatives varying from infrastructure development to the provision of school uniforms and learning materials. They have always had a focus on nurturing and developing education in the country (Hirdaramani Group, 2012). 1.2 Nature of business and operation 1.2.1 Hirdaramani Apparel Production

The Hirdaramani Group operates 28 state-of-the-art production facilities in Sri Lanka, Bangladesh and Vietnam, with the capacity of producing over 13 million pieces of clothing per month. Coupled with their innovations in design, this makes Hirdaramani one of the leading apparel industry production hubs in the world (Hirdaramani Group, 2012).

HIRDARAMANI INTERNATIONAL EXPORT (PVT) LTD HIRDARAMANI INDUSTRIES LTD HIRDARAMANI MERCURY APPAREL (PVT) LTD. CEYLON KNIT TREND (PVT) LTD. HIRDARAMANI GARMENTS LTD KENPARK BANGLADESH (PVT) LTD REGENCY GARMENTS LTD. BANGLADESH FASHION GARMENTS LTD. VIETNA

1.2.2

About Ceylon Knit Trend (PVT) LTD.

Comprised of manufacturing units based in Maharagama, Eheliyagoda, and Agalawatte, CKT focuses on the production of knitted garments. The Agalawatte factory, more famously known as Mihila holds the distinction of being both the First

4 CarbonNeutral Apparel Factory in Asia and the First Custom-built Green Apparel Factory in the World. Altogether, the cluster operates 75 lines and several leased units with a total capacity of 1 million pieces a month while boasting an in-house Textile Laboratory to ensure color fastness and washing plants at some of the outlet (Hirdaramani Group, 2012). 1.2.2.1 Product Portfolio CKT (PVT) LTD Maharagama Specializes in knit garments, including men's, women's and children's t-shirts, polo shirts, fleece tops, polar fleece, pants and lingerie. It has diversified brand portfolio. They focused on Global Drive Brands. Tesco, PVH, Nike, Decathlon, Calvin Klein, Adidas, Colombia, Tommy Hilfiger, Patagonia, American Eagle, Victorias Secret, M&S, Main suppliers Technology: Tuka Tech, Gerber Automatic Spreading System, Microsoft Dynamics ERP, Orax Automatic laser Cutters Ocean Lanka, Brandix textile LTD.

Certifications: GSV C-TPAT ISO 14001-2004 OHSAS-18001-2007 LEED Gold, USG BC Fair Trade Certification 1.3 Departments, Divisions, and Sections of study

The Work Study Department is the major department, at which this study was carried out. However this study was the combination of Work Study Department, Lean Manufacturing Department and Production Department. Nevertheless, many personnel from some other Departments too were consulted in order to find out relevant information and documents for the research.

1.4

Background and Rational for the research

The Garment Industry in Sri Lanka today accounts for more than 43% of Sri Lankas total exports. Although Sri Lankas garment industry is reputed as a quality manufacturer it has many disadvantages such as low labor productivity and excessive lead times (Pettersen, 2009). In todays competitive business world, companies require small lead times, low costs and high customer service levels to survive. Because of to perform in a global market, short lead times are essential to provide customer satisfaction. Organizations that have focused on cycle time as a productivity measure can reduce delivery time and improve quality, thereby creating more satisfied customer. Cycle time or lead time is from the time a customer release an order until the time they receive the finished product. In this respect garment industry in Sri Lanka has faced problem to reduce their lead time than their competitors. Because the fabric manufacturing industry in Sri Lanka is not enough to fulfill Sri Lankan demand. But the competitors of the Sri Lanka such as Turkey, India, Bangladesh, China, Morocco, Egypt garment industry save the lead time by producing fabric own country. Therefore Sri Lanka garment industry waste about 30 days than other country to ordering and import fabric. After that organization remain only 15 days and they should organize their value stream map within 14 days. Before 1980, customers tolerated long lead times which enabled producers to minimize product cost by using economical batch sizes. Later, when customers began to demand shorter lead times, they were able to get them from competitors. This is when the problem arose and companies started to look for changes to be more competitive. In an attempt to reduce lead time, businesses and organizations found that in reality 90% of the existing activities are non-essential and could be eliminated. As soon as manufacturers focused on processes, they found waste associated with changeovers, quality defects, process control, factory layout, and machine down time. So they tried to find ways to reduce or eliminate waste. By eliminating the non-value adding activities from the processes and streamlining the information flow significant optimization results can be realized (Hassanzadeh, 2008) In order to face this global challenge Sri Lanka garment sector have apply different strategy. The recent adoption is the lean manufacturing tool which is used by Toyota

Company to reduce their lead time by reducing non added value of the organization by optimizing the organization value stream map. It is called as waste eliminating tool because it focused on seven wastes (transport, inventory, motion, waiting, over production, over processing, defects) and eliminates them. The subjective research in this writing was carried out as a six months industrial training project as a partial requirement of the Bachelor of Science (Joint Major) Degree Programme of the Applied Sciences Faculty of Wayamba University of Sri Lanka. This dissertation presents the findings of a research carried out to evaluate the effectiveness of the adaptation of lean manufacturing in the manufacturing process of Ceylon Knit Trend Ltd of Hirdaramani Group, one of the leading garment manufacturers in Sri Lanka. 1.4.1 Problem Statement

Due to higher manufacturing cost in garment production, high variation in product mix. It is very difficult to sustain in the global market. This paper will focus on customized implementation of Lean tool for minimizing the Work in progress (WIP), as well optimizing the value stream map, line setting time in a Knitted T-shirt Production Industry which in turn reduces the cost of production. Based on the above explanation a border research problem can be started as How can lean manufacturing system used to improve the performance of apparel industry 1.5 Study / Research Objective

In answering the research problem, the study sought to accomplish the research objective. 1. To examine the current situation of the lean manufacturing and organization status. 2. To identify and propose potential avenues for improving lean manufacturing for better performance of the garment sector. The Present Study analyzed the lean manufacturing system and its value stream map of existing production facilities of CKT (PVT) LTD Maharagama. It is an attempt to and understands the root causes which would increase the lead time of the process .The Study subsequently examined some of the suitable lean tools and techniques for

proposing the new system of value stream mapping. Finally the study compared and evaluated the production performance before establishing Lean system and after. 1.6 Scope of the Study/ Research

Lean manufacturing technology with the standard work can be applied in to any manufacturing sector. The research focused only on manufacturing process and the data were gathered only from the production division and the work study department of CKT (PVT) LTD Maharagama. The research was carried out with in a time frame of six months as an internal training in the Work Study Department. 1.7 Outline of the Report

Chapter 1. Introduction This chapter provides the background, objectives and significance of the study. It also briefs the formation of the remaining chapters. Chapter 2. Literature Review and Theoretical Background According to the scope and problems, a relevant literature should be searched and studied. There are some text books, journals, and past reports about the lean technology. Chapter 3. Research Questions / Problems This chapter describes the research problem and its rationale. It also provide the potential benefits of the findings. Chapter 4. Research Approach and Methodology Chapter $ discusses the project rationale along with the data, data collection strategy and the limitations encountered. Chapter 5. Data Collection and Analysis Data collection is discussed in detail in this Chapter. Graphical data representations and summarizations are given in this Chapter. Chapter 6. Identification of Causes and Alternative Solutions Detailed analysis of the data presented in Chapter 5 is given in Chapter 6. Chapter 7. Discussion and Conclusion

Chapter 7 consists of the discussion and conclusions. It also detailes the limitations encountered during the project and presents the suggestions and avenues for future developments of a similar project. Chapter 8. Details of Industrial Training A briefing of the Industrial Training experience is presented in this Chapter.

Literature Review and Theoretical Background

2.1 Literature related to area of the study

Lean Manufacturing is defined as systematic approach to identify & eliminate the process wastages through continuous improvement (Kumar and Sampath, 2012).Lean is the Pull based Manufacturing approach, also known as the Toyota Production system, which was established in the year 1970s by Taichiohno and shigeoshingo at Toyota Motor Company. This results in an integrated and efficient manufacturing environment (Abdulmalek and Rajgopal, 2007) Lean has been developed and defined as elimination of waste (Denis, 2011). In Lean Philosophy, value is determined by customer point of view. It refers what the customer is willing to pay for and, what creates value for the end product (Hahrukh and Jin, 2012). Lean philosophy is always thinking on customer point of view. Major objective of Value stream map is identifying value added and non-value added activity of manufacturing a product from its raw material. With this understanding one can find out ways to minimize the non-value added activity towards the value chain instead of replacing the useful value added activity. Most popular way in lean manufacturing tool to reduce non added value in production line is Standardization. Masaki Imai in his seminal work says he learned that there can be no kaizen (continuous improvement) without standardization. Standardization is actually the starting point for continuous improvement (Jeffrey and David, 2006).The establishment of standardized processes and procedures is the greatest key to creating consistent performance. It is only when the process is stable that you can begin the creative progression of continuous improvement. According to Pettersen (2009), Vijitha Ratnayake and Gamini Lanarolles aid that high Work in Progress (WIP) levels and its fluctuation are inherent characteristics in a nonlean environment. Further they observed that the hypothesis testing on the WIP of 42 garment manufacturing lines manufacturing various types of garments shows this is a common problem across the industry. Abdulmalekand Rajgopal (2007) said that before implanting lean manufacturing process there were huge amount of waste represented by the excessive inventory and large production lead time. He accomplished that the link between the current state map (after

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implementing lean tools) and the unveiling of waste was very clear. The procedure demonstrated a universally applicable method to view the value stream and identify area of large inventories long lead time and lack of information coordination. Value stream mapping is a valuable tool in any lean manufacturing effort and can unveil all the wastes in the entire value stream and not just portions of it. 2.2 Theories related to area of study 2.2.1 Lean Manufacturing System

Lean Manufacturing is an operational strategy oriented toward achieving the shortest possible cycle time by eliminating waste (Jeffrey and David, 2006). It is derived from the Toyota Production System and its key thrust is to increase the value-added work by eliminating waste and reducing incidental work. The technique often decreases the time between a customer order and shipment, and it is designed to radically improve profitability, customer satisfaction, throughput time, and employee morale. Then Lean manufacturing derive continuous improvement in manufacturing process by eliminating waste. 2.2.1.1 History of lean production Lean thinking and lean production became popular in western industry as a means to improve productivity. One reason for this was that the Japanese industries, during the last decades, have far exceeded the western industries in productivity and quality (Womack and Jones, 2003). After the Second World War, Toyota and other Japanese organizations suffered from the effects of the war. Resources were strained and Japan needed to rebuild its manufacturing industry. Many of the Japanese companies turned to western industries to gain ideas and inspiration on how to build up their industry (Womack and Jones, 2003). In the United States, the call was for mass production to satisfy the needs of a large populace that saved and sacrificed during the war. The Japanese market on the other hand was much smaller and investment capital was scarce. With smaller production volumes per part and limited resources, there was a need for developing a manufacturing system that was flexible and used less resource the solution was to develop a lean production system, and the production genius TaiichiOhno at Toyota is said to be the man behind the development of lean production (Hassanzadeh, 2008).

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In the beginning of 1980, the western automotive industry began to realize that the Japanese way of manufacturing vehicles far exceeded the methods that were used in the European and American industries. Japanese companies achieved higher productivity and better quality using fewer resources (Hassanzadeh, 2008). 2.2.1.2 Wastes in Lean Manufacturing Lean manufacturing system has identified Seven Wastes in manufacturing process. These wastes are, Called as TIMWOOD (LeanMan, 2012) 1. Transportation or conveyance. 2. Inventory 3. Motion 4. Waiting 5. over production 6. Over processing 7. Defects 2.2.1.2.1 Over production Over production is producing more than the customer demand. Over production is highly costly to a manufacturing plant because it obstructs the smooth flow of material and degrades the quality and productivity. It can be defined as producing more, sooner or faster than what is required by the next process 2.2.1.2.2 Defect waste The lack of quality is another source of waste. Defects can be either production defects or service errors. Repairing of rework, replacement of production and inspection means wasteful handling time and effort.

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2.2.1.2.3 Unnecessary inventory Any type of inventory (raw material or in process or finish goods) does not add value to the product and it should be eliminated or reduced. Excess inventory results in longer lead times, obsolescence damaged goods, transportation and storage costs, and delay. The positive points for reducing inventory are listed below: Reducing tied up capital Shortening through-put time Lessening risk of obsolete material Smoothing production flow Lowering space rental costs Decreasing the time needed to detect quality problems 2.2.1.2.4 Unnecessary processing Incorrectly designed process could also be a source of waste. Activity in an organizational process can be divided into 3 categories: value adding, non-value adding but necessary and non-adding value but unnecessary. Lean production emphasizes reducing this non-adding value but unnecessary process. This is due to poor layout, poor tools and poor product design, caution unnecessary motion and producing defects. 2.2.1.2.5 Unnecessary transportation between work sites Transportation waste includes all types of unnecessary transportation of material, work in process and components, which do not add value to the products. Most unnecessary transportation is due to the inappropriate layout of a factory. 2.2.1.2.6 Waiting Waiting may be due to different reasons such as waiting for correct information, products waiting to be processed, machines waiting for their operators and machines waiting for material to arrive. Value Stream Mapping is a tool for identifying the product flow through the factory (Hahrukh and Jin, 2012).Processing time, throughput times, set-up times, inventory levels, etc., are mapped with standardized symbols.

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2.2.1.2.7 Unnecessary motion in the work place Motion consumes time and energy. Due to the poor layout, poor work flow and poor methods generate unnecessary motion as the non-added value in unnecessary. 2.2.1.3 Fourteen Principles of the Toyota way. The authors of Toyota Way Field Book (Jeffrey and David, 2006) have provided the framework for analysis methodology. 1. Base your management decisions on a long term philosophy, even at the expense of short term financial goals. 2. Create continuous process flow to bring problems to the surface. 3. Use Pull systems to avoid overproduction. 4. Level out the workload (Heijunka). (Work like the tortoise not the hare.) 5. Build a culture of stopping to fix problems, to get quality right the first time. 6. Standardized tasks are the foundation for continuous improvement and employee empowerment. 7. Use Visual control so no problems are hidden. 8. Use only reliable, thoroughly tested technology that serves your people and processes. 9. Grow leaders who thoroughly understand the work, live the philosophy, and teach it to others. 10. Develop exceptional people and teams who follow your companys philosophy. 11. Respect your extended network of partners and suppliers by challenging them and helping them improve. 12. Go and see for yourself to thoroughly understand the situation. 13. Make decisions slowly by consensus, thoroughly considering all options; implement decisions rapidly. 14. Become a learning organization through a relentless reflection (Hansei) and continuous improvement (kaizen)

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2.2.1.4 Lean Manufacturing Tools and Technique 2.2.1.4.1 Just in time Closely associated with lean manufacturing is the principle of just in time (JIT), since it is a management idea that attempt to eliminate source of manufacturing waste by producing the right part in the right place at the right time (Stratergos International, 2012) JIT utilize what is known as a pull system. Customer demand, which is the generator of the order, sends the first signal to production. As a result, the products gets pulled out of the assemble process. The final assembly line goes to the preceding process and pulls or withdraws the necessary parts in the necessary quantity at the necessary time (Abdulmalek and Rajgopal, 2007). A Kanban is used to manage these shipments. Kanban is a visual information system that is used to control the number of parts to be produced in every process. By utilizing Kanban system under JIT, smaller lot sizes and huge inventory reductions can be achieved. So inventories are kept to a minimum and the lean manufacturing principles are followed to inventory as source of waste. Therefore overproduction waste also can be reduced. 2.2.1.4.2 Standardization of work A precise description of each work activity specifying cycle time, takt time, the work sequence of specific tasks, and the minimum inventory of parts on hand needed to conduct the activity. Often standardized work is thought to be mainly a set of instructions for the operator. In reality one of the most powerful uses of standardized work is for analyzing and understanding waste in the operation. The documented work procedure will be a visual representation of the waste (opportunity for improvement) that exists (Jeffrey and David, 2006). This derive more smooth production floor supporting JIT and effective output. Figure 2.1 shows the relationship between work standardization and other standards.

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Relationship between standardized work and other standards

Figure 2-. The relationship between work standardization and other standards (Source Toyota way field book (Jeffrey and David, 2006))

A tool that is used to standardize work is called takt time. Takt (German for rhythm or beat) time refers to how often a part should be produced in a product family based on the actual demand. Takt Time=
( ) ( )

(Abdulmalekand Rajgopal, 2007).

2.2.1.4.3 Total productive maintain There are main components of the total productive maintenance program: preventive maintenance, corrective maintenance and maintenance prevention, Corrective maintenance deal with decisions such as whether to fix or Purchase machines that maximize productive potential (Jeffrey and David, 2006). If a machine is always down and its components are always breaking down then it is better to replace those parts with newer ones. As a result the machine will last longer and its uptime will be higher. 2.2.1.5 Theoretical frame work on value stream map Value stream map is one of the most powerful Lean tools for an organization waiting to plan, and improve on its lean journey. Value stream improvement, sometimes called flow level kaizen, is the best tool for identifying and planning opportunities for process kaizen (Silva, 2012).

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Current state value stream mapping allows an organization to identify waste and sources of waste. The current state provides a baseline from which people can work to create a lean future state. Future state mapping is a process by which organizations identify a lean future condition. This future condition includes things like continuous flow manufacturing wherever possible, supermarkets or FIFO lanes (depending on the degree to which the products are custom) where continuous flow is not possible, and level production (Silva, 2012) By practicing value stream map, the organization can streamline its business process and achieve the goal of eliminating wastes remarkably. There are four stages of implementing the value stream map technique. 1. Identify the product or family of products to be mapped 2. Draw the current stage of the process.(current VSM) 3. Identify where the improvements can be done to eliminate waste. 4. Draw and implement the future value stream map. 2.2.1.5.1 Value stream map symbol Following table 2.1 summarizes the symbols commonly used in value stream mapping.

Table 2-. Summary of symbols commonly used in value stream mapping

Symbol

Description Outside source

Supplier Inventory 24rall Truck Shipment

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Process name
# of Operator Cycle Time 1Pc Batch size Process Time Scrap/Rework% C/O Time Uptime% First Pass Yield% 100 -

Manufacturing process data box

1
2

1=Process lead time 2=Process value added time

(Source: International Journal of Lean Thinking Volume 3, Issue 1 (June 2012)) 2.2.1.6 Theoretical frame work on Statics tolls 2.2.1.6.1 Hypothesis testing A statistical hypothesis is an assumption about a population variable. This assumption may or may not be true (www.sagepub.com). The best way to determine whether a statistical hypothesis is true would be to examine the entire population. Since that is often impractical, researchers typically examine a random sample from the population. If sample data are consistent with the statistical hypothesis, the hypothesis is accepted; if not, it is rejected. There are two types of statistical hypotheses.

Null hypothesis. The null hypothesis, denoted by H0, is usually the hypothesis that sample observations result purely from chance. H0 is a simple hypothesis associated with a contradiction to a theory one would like to prove.

Alternative hypothesis. The alternative hypothesis, denoted by H1 or Ha, is the hypothesis that sample observations are influenced by some non-random cause. Alternative hypothesis (often composite) associated with a theory one would like to prove.

p-value The probability, assuming the null hypothesis is true, of observing a result at least as extreme as the test statistic

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T-Value A statistical examination of two population means. A two-sample t-test examines whether two samples are different and is commonly used when the variances of two normal distributions are unknown and when an experiment uses a small sample size.

Size / Significance level of a test () For simple hypotheses, this is the test's probability of incorrectly rejecting the null hypothesis. The false positive rate for composite hypotheses this is the upper bound of the probability of rejecting the null hypothesis over all cases covered by the null hypothesis. The complement of the false positive rate, (1 ), is termed specificity in biostatistics.

2.2.1.6.2 Multiple regression Multiple regression analysis is a powerful technique used for predicting the unknown value of a variable from the known value of two or more variables- also called the predictors (Nicola, Richard, and Rosemary) In general, the multiple regression equation of Y on X1, X2, ,Xk is given by: = 0 + 1 1 + 2 2 + + Here b0 is the intercept and b1, b2, b3, ,bk are analogous to the slope in linear regression equation and are also called regression coefficients. They can be interpreted the same way as slope Once a multiple regression equation has been constructed, one can check how good it is (in terms of predictive ability) by examining the coefficient of determination (R2). R2 always lies between 0 and 1. R2 - coefficient of determination All software provides it whenever regression procedure is run. The closer R2 is to 1, the better is the model and its prediction. When carrying out multiple regression following assumptions are considered. Dependent variable is normal Residual are random Ro relationship among independent variables

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Research Questions/ Problems

3.1 Research Questions/ Problems

Delivering high quality garments at low cost in shorter lead times are the major challenges faced by the apparel manufacturers. Most of the apparel manufacturers are trying to achieve these challenges successfully. To optimize the lead time company had to go through various ways on finding the factors affected to the company efficiency. Below fish bone diagram shows the factors identified in the production flow.

Figure 3-. Fish bone diagram of the production floor

To face globale challenge company must reduce the problems in the company which affect to the company affanciency. In order to face this global challenge, most of the local apparel manufacturers have adopted different strategies. The recent adoption is Lean Manufacturing to achieve low cost, short lead times and improved quality. Application of lean techniques in the production floor has shown apparent effectiveness over the production. Nevertheless, no investigation was carried out at CKT to evaluate the effectiveness of these applications.

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3.2

Rational to select research question

In this research, tries to investigate the applicability of one of the most important Lean Manufacturing tool called Value Stream Mapping in Sri Lankan apparel sector. Based on the above explanation a broader research problem can be stated as: How can VSM are effectively used to improve the performance of apparel industry? Then research went through investigating the applicability of the lean manufacturing by analyzing the identified factors which affected to the factory efficiency. Since the research is limit for six months above research problem selected to investigate only for the production flow. 3.3 Potential benefits to the organization by solving the question

The research went through the value stream map and the testing performance of the company after lean manufacturing. VSM is an easy to understand tool and also a graphical presentation, therefore the findings are easily interpreted and effectively presented. Following section briefs the potential of benefits of VSM. Value Stream Mapping helps identify waste One of the greatest benefits of value stream mapping is that you can easily identify where the waste is in your business process. Anything that does not add value to the end-customer is waste. The value stream map can help identify the most common types of waste, also known as the seven deadly wastes. These are Overproduction, Waiting, Transport, Extra processing, Inventory, Motion and Defects. None of these add value to the end-customer, and the value stream map helps you see these types of waste clearly. So waste reduction can be improved more efficiency it will be help to go for a lean lead time. And identifying the places more inventory handling in the process flow, they can be reduced as the lean concept so company investment can be reduced. Then testing performance of the company before and after lean manufacturing, the company will be able to get an idea of the applicability of lean. Then the factors that need more consideration can be identified and it will help to improve company performance.

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Research Approach and Methodology

4.1 Research design with a rational

According to the understandings of the literature review readings the production and cutting departments were selected as most suitable departments. Further, the selected data collection strategy was based on judgmental sampling techniques for this study. Then research path was designed to identify the lean manufacturing using main lean tool of value stream map and evaluate its progress using statistical tools of multiple regression and hypothesis testing. 4.2 Data collection strategy with rationale

When data are concerned, they can be obtained in three basic methods. They are, by accessing data in the companys ANDON tracking system, a tool provided by Toyota Ways (Jeffrey K. L. & David M., 2006): The ANDON tracking system contains data captured by the production line such as line efficiency per hours, machine brake down, needle break down, quality issues, cut delay, thread issues etc. This system was launched as a requirement of lean manufacturing system and it is being monitored by the lean manufacturing department. by gathering data from relevant documented records: During the manufacturing process, the company documented every record of all operational data every day, machine wise and department wise separately. Therefore, some data were gathered from the documents. by gathering data from quality tests: Sometimes, data are collected by doing quality tests. By these test methods, very accurate data can be gathered for variables by collecting data from directly interview: To have a basic idea of the past situation of the company managers were interviewed as well as non-executives were interviewed to know how their jobs become easier through the lean manufacturing.

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4.3

Details of Design & Development of Data Collection Tools

This study manly focuses only on some major variables of garment production. To identify factors affecting the production output of the company, a site tour was conducted in order to get a clear idea about the existing products and the overall process of the company. And garment style selected was the one which touches most number of operations and has highest product volume in units to map into the VSM. Following table 4-1 shows model work sheet for collecting data.
Table 4-. Model of the work sheet for collecting data

band

date

EFF.

# absent

Machine break

Needle break

Defects

Thread delay

Hanger delay

Other delay

6 3

20/8 0.4893 20/8 1.003 4.4

3 0

0 0

0 0

0 0

0 0

0 0

0 0

Data Analysis Strategies and Rationale

There are different ways to analyze different variables. Firstly analyzing the production output against with some identified factors, and then most powerful factors, that effecting production output were identified. Then, the situation before implementing the lean manufacturing in to the organization was studied by interviewing the manager of Stores, Cutting, Production, Work Study and Lean manufacturing departments. Then considering the flow chart of every department and past data mapped the acceptable average value stream map before implanting the lean manufacturing system. After selecting garment style mapped the current state value stream map. Thereafter the lean manufacturing progress was evaluated by analyzing information gathered for years 2010and 2012. MINITAB 14 software was used for the statistical analyzing considering its accuracy of data analyzing. 4.5 Statistical Tests and Methods of Applications and Limitations

This study is mainly based on lean manufacturing tools and statistical methods. As described in sections 2.2.1.6.1 and 2.2.1.6.2, the Statistical hypothesis testing and multiple regression were used evaluate lean manufacturing system.

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4.5.1

Limitations

As mentioned above, this research focused only on one style of the CKT (PVT) LTD. But in reality there are many different garment styles. It was not possible to study the entire collection of styles due to the time limitation and also some short quantity garment styles had no sufficient historical data for canalization. Therefore the only acceptable style selected was the one which contained highest production quantity and went through the maximum number of manufacturing lines. Some past data could not be collected due to the access limitations to some documents. Furthermore, the data on days in which no considerable quantity manufactured also had to be excluded from the study.

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Data Collection and Analysis

5.1 Details of Data Collection

In this section, the data collection consists of data derived from three different sources as explained in Chapter 04. They are, data from ANDON tracking system, relevant documents and data gathered from quality tests. When collecting data, long term styles were mainly considered because of the size of the data samples which affect the accuracy of the data canalization and results. Some data useful for the VSM could not be collected due to the reasons like that the selected style not touch the particular line or the unavailability of a good source to collect data. Further explanation of data is presented in the remaining sections. 5.2 Details of responses

Company efficiency and affected factors on the efficiency were considered as responses during the data analysis. To value stream map, the lead time, change over time, batch size, WIP and first pass yield rate were considered as attributes. 5.3 Details of data analysis

During the data analysis of this study, several major steps were carried out to enhance the overall efficiency of the study. The steps of the analysis are as follows Multiple regression was used to identify the factors, affecting to the production efficiency. Identified the problem through the fish bone diagram Mapped the value stream map describing production floor before and after lean implementation. Evaluate progress of lean manufacturing for its effecting factors. 5.3.1 Value Stream Map

Value stream map was created according to the data collected by the lean manufacturing department and floor chart of each department that directly involved to the production process. The general status of the production department, cutting department, stores and packing department before Lean implementation were considered first. Also their past experiences and researchers observations were also taken into considerations.

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5.3.1.1

Value stream map before lean

Figure 5- value stream map before lean implementation

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Figure 5-1 value stream map before lean implementation

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1.1.1.1 Value stream map after lean implementation

Figure 5-2 value stream map after lean implementation

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Figure 5- value stream map after lean implementation

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Looking at the value stream map common causes before lean implementation were identified by observing the values each attribute has achieved. The root causes of gaining such a long lead time and huge WIP will be discussed in next chapter. Then the value stream map after lean implementation was drawn. Pull inventory control system concept of Lean is applied here in contrast to the previous system. 5.3.2 Factors affecting to the efficiency

Multiple regression analysis as a powerful technique used for predicting the unknown value of a variable from the known value of two or more variables was used to find factors affecting efficiency. Multiple regressions is also a powerful statistical tolls for identifying the relationship of unknown variables with known variable. Statistical calculations in deriving the following regression equation are given in Appendix 2.And it shows how to prove the assumptions consider in section 2.2.1.6.2. The regression equation is for efficiency per hour . = . . ( ) . ( ) + . () S = 34.6585 R-Sq = 61.8% R-Sq (adj) = 59.2% S = the square root of the mean square error R-sq = estimated R-square R-sq (adj) = estimated adjusted R-square Multiple regressions was calculated using the data of selected band and data was collected per hour only for 5 days (Appendix 1). Time was measured for the nearest minute in machine breakdowns and needle breakages and inventory delay. Cut delay, thread delay, packing inventory (hangers, polybags, and tags) etc. are included in inventory delay category. Only end line defects were considered as the defects. According to P value checking of the correlation coefficient and significant checking of ANOVA table (Appendix 2) absenteeism and inventory delay was removed for the model. So it was redone excluding those two factors and model was found as above.

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5.3.3

Evaluate performances before and after implementing the Lean manufacturing

After identifying the factors affecting the factory efficiency, a situation analysis was carried out for before and after lean manufacturing implementation based on them here, some factors such as absentees and inventory delay could not be analyzed due to the unavailability of past data and strong relationship with the efficiency. Data were analyzed 95% significant level using paired T test. H0 :1 2 H1 :1 < 2 5.3.4 Hypothesis testing of Factory efficiency

Table 5.1 shows the paired T test result of efficiency testing performances before and after Lean. Test was carried out under the 95% confidence level. Sections 5.3.5 to 5.3.7 present the performances of the selected factors concerning the efficiency. Paired T-Test for efficiency of before and after 1 =mean of the Factory efficiency before implementing the lean manufacturing 2 =mean of the Factory efficiency after implementing the lean manufacturing
Table 5-.Test for efficiency of before and after

Efficiency Before After Difference

N 15 15 15

Mean 35.8947 38.6960 -2.80133

StDev 6.0946 6.6047 4.76943

SE Mean 1.5736 1.7053 1.23146

95% upper bound for mean difference: -0.63235 T-Test of mean difference=0(vs. <0): T-Value = -2.27 P-value=0.020< (0.05) So reject H0 5.3.5 Hypothesis testing of Machine Breakdown Time P-Value = 0.020

Table 5.2 shows the paired T test result of machine break down testing performances before and after Lean. This factor was selected since it shows a relationship with the factory efficiency according to the regression line.

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Paired T-Test for machine Breakdown Time . H0 :1 2 H1 :1 > 2 1 =mean of the machine break down before implementing the lean manufacturing 2 =mean of the machine break down after implementing the lean manufacturing
Table 5-.Test for machine Breakdown Time

Machine Break down Before After Difference

N 16 16 16

Mean 9.09250 5.29875 3.79375

StDev 4.29493 2.16823 2.47048

SE Mean 1.07373 0.54206 0.61762

95% lower bound for mean difference: 0.44244 T-Test of mean difference = 0 (vs. > 0): P-Value = 0.0012 <(0.05) So reject H0 There is no enough evidence to reject the H1. 5.3.6 Hypothesis testing for Needle breakages T-Value = 2.53 P-Value = 0.012

The hypothesis testing results of needle break down are shown in Table 5.3. This test was analyzed under the 95% significant level. Paired T-Test for Needle -Before & After H0 :1 2 H1 :1 > 2 1 =mean of the needle break down before implementing the lean manufacturing 2 =mean of the needle break down after implementing the lean manufacturing
Table 5-T-Test for Needle -Before & After

Needle Break down Before After Difference

N 16 16 16

Mean 68.5625 54.1250 14.4375

StDev 30.9773 19.9595 19.5515

SE Mean 7.7443 4.9899 4.8879

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95% lower bound for mean difference: 5.8688 T-Test of mean difference = 0 (vs.> 0) P-Value = 0.005 <(0.05) So reject H0 There is no enough evidence to reject the H1. 5.3.7 Hypothesis testing for Defects T-Value = 2.95 P-Value = 0.005

The hypothesis testing results of defects of selected manufacturing lines are shown in Table 5.3. This test was analyzed under the 95% significant level. Paired T-Test for defects before and after H0 :1 2 H1 :1 > 2 1 =mean of the number of the defects before implementing the lean manufacturing 2 =mean of the number of the defects after implementing the lean manufacturing
Table 5-.Test for defects before and after

Defects Before After

N 16 16

Mean 9.13750 5.29875 3.83875

StDev 4.33193 2.16823 2.50375

SE Mean 1.08298 0.54206 0.62594

Difference 16

95% lower bound for mean difference: 2.74145 T-Test of mean difference = 0 (vs.> 0): T-Value = 6.13 P-Value = 0.000 P-Value = 0.005 < (0.05) So reject H0 There is no enough evidence to reject the H1. Inventory delay time & absentees couldnt be analyzed because there is no acceptable source to collect the past data.

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5.4

Results 5.4.1 Value stream map

Results of value stream map of before implementing the lean manufacturing system are given below. The data analysis and the results discussion are presented in the next Chapter 6. Tackt time Lead time Tot. Lead time VA time VA ratio 0.52 min 41997min (30 days) 60 days 27.18min 0.06415%

Results of value stream map of before implementing the lean manufacturing system Tackt time Lead time Tot. Lead time VA time VA ratio Result of the Hypothesis Testing According to the hypothesis testing below results were found Mean of the Factory efficiency before implementing the lean manufacturing is less than the mean of the Factory efficiency after implementing the lean manufacturing. Mean of the machine break down before implementing the lean manufacturing is more mean of the machine break down after implementing the lean manufacturing. Mean of the needle break down before implementing the lean manufacturing is more than after implementing the lean manufacturing. Mean of the number of the defects before implementing the lean manufacturing is higher than that of after the implementation. Efficiency has a negative relationship with the all the other factors of concern. 0.48 min 12052min (8.3 days) 38.3 days 27.21min 0.2257%

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Identification of causes and alternative solutions

6.1 Result Interpretation

In the Chapter 5, the data collection, analysis and results have been discussed. There, the results have been theoretically discussed and in this Chapter the results will be interpreted as in each cases practical scenarios. 6.1.1 Result on value stream map

Looking at the map of the state before the lean manufacturing (figure 5.1), several common causes were identified: (a) Large inventories (b) The difference between the total production lead-time 41997min (30 days) and the value added time 27.18min which is under 1% of the total time consumed, (c) Each process producing to its own schedule. In order to reduce the waste and improve the value adding portion following main opportunities were identified. There were excess inventory between inspections and relaxing, sewing process contain excess inventory. Also, after the sewing process all the stores contained excess inventory. So many places in the packing department contain different types of styles. It create desultorily place in the process. Then the current state VSM (after Lean implementation) is drawn by progressively eliminating waste in the processes. It applies pull inventory control system in contrast to the previous system shown in figure5.2. Here the lead time has been reduced remarkably from 41997min to 12052minutes. Therefore the value added ratio has increased from 0.06415%- 0.2257%. Also there is reduction in work-in-progress (WIP) inventory. WIP has been controlled into 3 pieces switching the sewing line. In fact WIP could not be controlled in to exactly 3 pieces every time and every place in the process but continuing low WIP creates an orderly work flow.

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6.1.2

Result on multiple regression

Multiple regression discussed under the subtopic 5.3.2was used to identify the factors affecting the efficiency. According to the regression equation R-Sq and R-Sq (adj) are respectively 61.8% & 59.2%. This is an acceptable for the practical data set. According to the regression equation in section 5.3.2, there are three factors affecting on efficiency. A strong negative relationship between efficiency vs. Machine Break down time and Needle Breakages time is observed. So increase in the values of these causes a decrease in efficiency of the factory. Furthermore, defects also affected on the efficiency 6.1.3 Result on hypothesis testing

6.1.3.1 Compare the efficiency before and after lean implementation Efficiency before and after lean manufacturing system were tested on 95% confidence level (5.3.3). There were -0.63235 mean differences between before and after implementing lean manufacturing. This can be interpreted as the Lean implementation has effected positively over the efficiency of the selected manufacturing lines. In hypothesis testing P-value=0.020 < (0.05). So reject H0. Its mean is1 < 2 . So we can conclude that the mean of the factory efficiency before implementing the lean manufacturing less than the mean of the factory efficiency after implementing the lean manufacturing. This statistical analysis justifies the above observation hypothetically. Therefore we can strongly conclude that the implementation of Lean has positively affected the two manufacturing processes. 6.1.3.2 Compare the Machine Breakdown Time before and after lean implementation Comparing the machine break down time before and after lean manufacturing under the 95% confidence level hypothesis result was found as P-Value = 0.012 < (0.05). So accept H1as its mean after the lean manufacturing machine breakdown has reduced than the before situation. Figure 6.1 shows the scatter plot of the efficiency vs. machine break down. A negative relationship between efficiency vs. machine break down is clearly visible in the graph.

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Figure 6- Scatterplot of efficiency vs. machine break down

So lean implementing has positively effected on the company by reducing the machine break down. According to the identification of the multiple regressions above scatter plot decreasing matching break down cause to the increasing of the factory efficiency. As well this benefit reduces the cost of the company. 6.1.3.3 Compare the Needle Breakdown Time before and after lean implementation Needle break down, before and after the lean manufacturing was tested 95% confidence level (5.3.4). There were 5.8688 mean differences before and after implementing the lean manufacturing. In the hypothesis testing P-value = 0.005 < (0.05). So H0 is accepted here. Its mean is1 < 2 . So we can conclude that the mean of the needle break down before implementing the lean manufacturing is more than the mean needle break down after implementing the lean manufacturing.

Figure 6-Scatterplot of efficiency vs. needle breakage

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Above figure 6.2 is drown for identify the relationship needle break down and efficiency in graphically. So according to the regression line and scatter plot, reducing the needle break down lean manufacturing has positively affected to the company efficiency. Because scatter plot show the needle break down inversely proportional on factory efficiency 6.1.3.4 Compare the number of defects before and after lean implementation Testing the defects before and after lean manufacturing under the 95% confidence level (5.3.5) hypothesis result were found as P value = 0.000. Since P value < (0.05) reject H0 and accept H1. So we can conclude that mean of the number of the defects before implementing the lean manufacturing is more than mean of the number of the defects after implementing the lean manufacturing.

Figure 6- Scatterplot of efficiency vs. inline defects

Scatter plot defects vs. efficiency figure 6.5 shows there is strong negative relationship among them. So after implementing lean manufacturing company has experienced benefit of it by reducing defects and improving the efficiency. 6.2 Causes of the Problem

This section analyses the major causes experienced by the manufacturing process before the lean manufacturing implemented by interpreting the results analysis given in the previous sections of this chapter.

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Before implementing Lean, there was a huge WIP in the factory working flow and huge lead time in the factory. Due to the overflow of WIP, there was no continuous work flow. Some activities of the manufacturing process and their respective work places in the manufacturing line and also their respective departments had no coordination among them (i.e.: among Cutting department and Production department, among Production department and Packing department). Manufacturing lines and departments were having their own schedules which had no particular relevance to the connecting lines and departments of the actual manufacturing process. This lack of coordination had resulted in an increase in the change over time also. When WIP is increased operators responsible of executing these activities were forced to do the same work over and over may have caused exhaustion and workers may have felt fed up of what they do. This could have lessen the productivity level and efficiency of the human resource (research were not extended to that area due to the time constraints). The disadvantages of high levels of WIP are numerous, and many of the disadvantages of high WIP levels that are difficult to economically evaluate are not being able to respond to demand changes quickly and the potential build a considerable quantity of poor equality stock before realizing that there is a quality problem. To help control inventory within production and manufacturing facilities. Further, the high WIP causes to handle with high inventory thereby the company needing to invest very high capital to handle large inventory. There were overall 58 processes for the selected style, out of which only 10 were value adding processes. All other activities involved either inspection, or stock keeping, or transportation. As identified by the hypothesis testing of the factors affecting to the efficiency of the factory, machine breaker down, needle break down and defects can be considered as the major factors directly effecting the efficiency of production. Before implementing Lean in to the company, above three factors were in an increase causing a decrease in factory efficiency while adding additional cost in to the manufacturing process. Earlier there were no good method for maintaining the machine and factory. It caused an increase in machine and needle break down time. Since there was no total productive maintaining method, nobody could assure to maintain the plant or equipment in good

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condition without interfering with the daily process. It also was decreasing the efficiency while adding extra cost to the company. Defects also were higher before implementing the lean manufacturing. Poor quality control tools, poor machine condition and low awareness of machine operators may also have caused to increase the defects. Since there was no good method to correct the defects, defects had accumulated during the manufacturing process. Indirectly it caused to absenteeism of the machine operators. 6.3 List of Alternative Solutions

According to the issues presented in the previous section, alternative solutions are listed below. Lean manufacturing tools were considered in explaining the solutions. Based on the result given in Chapter 5, lean manufacturing can be identifying as a tool that can positively effect on factory efficiency. 6.3.1 Solutions to the issues identified by analyzing section 6.2

Minimize Transportation Time To minimize transportation time it is needed to re-layout the process flow as respectively manufacturing process is flow. Minimize Excess inventory Before Lean was implemented, the outsourced activities were not done regularly. Outsourcing was done in large lot vise for the entire production batch. Therefore, the embellishments outsource lot size needed to be reduced. Also, coordination with the embroidery/printing plants is necessary to receive them as the production lines need it reducing their inventory up to 2 days. Starting one piece flow manufacturing (single operator working on a single item at a given time rather than working on a batch) in Sewing department and arranging shipment weekly basic to reduce to finish good inventory would help to reduce WIP of manufacturing process. By reducing the fabric inventory by having proper fabric in date, company can reduce excess inventory in the stores. Reduce Waiting Majority of the waiting time was spent at sewing department and at Cutting department. So to reduce that issue, Cutting department should coordinate their schedule with the

40 Sewing departments schedules to provide garments cut before start sewing at a constant rate. It should better be just in time (JIT) otherwise it will increase WIP artificially. Minimize Overproduction Counting errors cause over production. If stores could supply only the necessary amounts of fabric and accessories to cutting and sewing departments, synchronization between the two departments can be easily achieved. Reduce Over Processing Over processing at sewing lines refers to the non-value added activities involved in preparing the fabric before it is sent to sewing operators (i.e.: tagging). This causes the sewing operators spending extra time and effort removing them. At Quality department also, such activities could be identified like repacking after inspection as the workers were not properly trained. These over processing could be reduced by giving proper training thereby reasonably reducing the unnecessary inspection points at Quality department. Reduce Defects Number of defects of an end product can be reduced by rectifying many activities involved during the production process. To reduce the fabric inspection time, Get testing reports from fabric suppliers Need batch wise test reports from supplier Get 100% shrinkage report from supplier Supply good quality fabric and trims to reduce inspection lead time. Send a person to the fabric mill to inspect fabric before in-house.

Proper supervision can control the in line defects of the sewing line. 6.4 Implemented Lean activities involved in achieving the solutions given in section 6.3 After implementing Lean in the factory several lean tools were added in to the production and manufacturing process. As analyzing results show about the situation after Lean, company performance has been improved. This section discusses how the

41

factory has achieved the expected performance increase by implementing Lean with respective to lean manufacturing tools. 6.4.1 Total productive maintenance (TPM)

Preventive maintenance was carried out by all employees. Equipment maintenance was performed on a company wide basis. TPM has five goals. 1. Maximize equipment effectiveness. 2. Develop a system of productive maintenance for the life of the equipment. 3. Involve all departments that plan, design, use or maintain equipment in implementing TPM. 4. Actively involve all employees. 5. Promote TPM through motivational management. By preventive maintenance company has reduced cost of maintenance as well increase the efficiency of the company. 6.4.2 PULL System

A pull system regulates the flow of resources in a manufacturing process by replacing only what has been consumed and only what is immediately deliverable. As a result, the business becomes increasingly lean, eliminating excess inventories of raw materials, work in process, and finished goods. Customer orders drive production schedules based on actual demand and consumption rather than forecasting. There are several benefits for a company that implements a Pull System. 1. It standardizes the amount of inventory in the production process. 2. It uses visual controls to activate the replenishment process. 3. It reduces batch or lot sizes. A Pull System using Kanban can help a business to transition from a batch and queue process towards becoming a single piece or continuous flow process. A Pull System will control the amount of inventory throughout the production system, which helps to focus on building what the customer wants, when they need it. As a result of better inventory control, all production resources are focused effectively; this will speed up the process and reduce lead times.

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CKT has adopted this Lean tool throughout their manufacturing floor. 6.4.3 Standard Work

Sewing operators at CKT are specially trained to carry out their work to imply with work standardization recommendations. Therefore a constant WIP is successfully achieved at the sewing lines of CKT. Work standardization has also provided synergy over the production floor to a visible level. 6.4.4 ANDON

CKT has implemented the necessary hardware indicators of ANDON tool in their work floor. Visual indicators for machine break down, quality issues and work-to-do queue over floor. ANDON indicators (visual and audio) are also implemented between the Cutting and Sewing departments alarming the Cutting department of the fabrics needed by the Sewing lines. 6.4.5 Just-In-Time (JIT)

CKT now practices JIT throughout their manufacturing process. Raw materials are requested to the stores at and when they are needed. Also, the finished products are shipped to the customers at more regular intervals with smaller shipment sizes than waiting for the full order to be completed. Therefore the warehouse overflow is minimized and the cost of store keeping is reduced to a reasonable level. WIP through the production lines are effectively reduced and successfully kept to a constant level by successful implementation of the other Lean tools within the manufacturing floor, as described above.

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Discussion and conclusion

In this Chapter, the discussions, recommendations and conclusions on those interpreted results are presented. 7.1 Limitation of this Research

This research was done to investigation compatibility of lean manufacturing system in garment sector. This research has been presented systematically right through as described in prior Chapters. For that, there have been some assumptions and Limitations taken into account, which are described in the subsequent points. 7.1.1 Data collection limitations

During this research, only one style of CKT (PVT) LTD Maharagama was considered due to the difficulty of accessing many styles and collecting data during the given six months period. This limitation was also affected the value stream mapping process where the focus had to be given only to one manufacturing process style due to the difficulty of collecting data during a short period. When identifying the factors affecting on efficiency only six factors were considered. Among the factors identified by the regression, inventory delay and absentees could not be analyzed further due to the difficulty of collecting the past data. Therefore only three factors were considered for further analyzing. 7.1.2 Time

Time was a limited factor for this research as it involved an extensive data collection. Some avenues of the research had to be eliminated solely due to the time constraint. More effective feedback could be given to the Sponsor organization, had there been more time to collect the necessary data. 7.1.3 Company Terms and Regulations

Company terms and regulations restrict access to sensitive data. Due to this reason some data sources cannot be accessed. The fore such data could not be considered for the analysis.

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7.2

Problems Encountered and Alternative Action Taken

The research was based on the data of efficiency and factors affected by them. So, these data were gathered using the ANDON tracing system of CKT. However the full data collection could not be accessed due to the rules and regulations of the company. Further, some data such as inventory delay ware not sufficient for an effective statistical analysis. Therefore, certain limitations (given in section 7.1) had to be made as an alternative solution. CKT is still at the stage of getting-used-to the Lean system. Though the Factory flow is reasonably clean, it is still not completely free of unwanted and unorganized inventory in its operation areas. Some good visual controls signs (hour by hour chart, line identification) are in place yet they are not efficiently working and effectively interpreted in the work floor. Targets are not still effectively set by interpreting the visual controls nor is proper abnormality management using Kaizen newspaper implemented (as recommended by Lean system). Major improvement in visual management can be made in order to incorporate abnormality management helping to fix daily and issues and to start process of continuous improvement. But less awareness of staff prevent to keep this organization discipline. 7.3 Further/Future Research Operation

The study has been conducted for a selected garment style in an organization in the CKT (PVT) LTD Maharagama. In future, researchers can deploy VSM for different styles, for several organizations across the apparel industry. It is also possible to examine the waste elimination level / improvement level over time during different periods since present study has taken into observations one single time slot. (E.g. observing waste elimination over several discrete time periods and variation). And it can be deploy further for the more tools of lean manufacturing and also more factors that are affected by lean manufacturing tools. The research could also be extended to investigate the attributes absenteeism and inventory delay which show a relation to the efficiency yet a proper investigation could not be made. Investigations can also be extended to evaluate the efficiency based on employee feedback. No proper investigation is yet conducted to interview the employees regarding the Lean adaptation.

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7.4

Discussion and Conclusion

To carry out this research successfully, a Lean manufacturing system adopted factory was selected. Then data of before and after lean manufacturing implementing collected for mapping the value stream map. Factors affecting the manufacturing line efficiency were then identified using multiple regression analysis. Hypothesis tests were carried out on selected factors identified in the regression analysis to evaluate their influence over the performance. A value stream map was drawn based on two selected manufacturing lines. From the result of statistical analysis and VSM, observation was that the factors selected in the multiple regression analysis have positively affected on factory efficiency after adopting Lean system. Lean manufacturing adopting has effected to improve efficiency by identifying factors affecting such as machine break down, needle break down and defects and decreasing their influence over efficiency. After Lean implementation, the company lead time and WIP has reduced. Pull system and JIT concept are important lean tools of lead time reduction and contain WIP in acceptable amount. Lean has visually controlled abnormalities and 7waste defects using ANDON lights, work standardization and other lean tools. TPM concept in preventive maintenance company has reduced cost of maintenance as well as increased the efficiency of the company. Lean implantation within the manufacturing floors has raised some issues. Among them the foremost is the less awareness of employees and staff. Lot of inconveniences and stagnation in improvement are obvious throughout the manufacturing process thus the company need to pay serious attention over staff training and awareness. Initializing Lean manufacturing system implementation needs higher venture capital investment. Therefore a stepwise approach is advisable for such implementations in small manufacturing businesses. JIT production and purchase and Pull system are suitable for initial stages due to their low cost implementation. However according to the investigations conducted Lean manufacturing adoption has positively affected on apparel manufacturing lines in CKT (Pvt) Ltd.

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Details of industrial training

8.1 Introduction to training

This internship is the practical part of the industrial training of the University degree program. The objective of this kind of internship is to obtain practical experience in a business organization and to have exposure to the industry at large. The six month training related to this study was obtained at CKT (PVT) LTD, (Hirdaramani Group) Maharagama. The training was started on the 2st of May 2012 and ended on 31th of October 2012. CKT (PVT) LTD Maharagama is main office of the CKT cluster. Under the top level management of CKTM manage five factory of the CKT cluster of Hirdaramani group. Marketing department, costing department, merchandizing department, has been centralized in the CKTM providing their service for the other factory also in CKT cluster. My general training covered understanding the entire garment manufacturing process and after the general training I was referred Work Study department to be trained as a work-study trainee. Covered Departments Sample Room o Cad/Cam section Stores Cutting department Production department Quality department Work Study department Maintain department o Automation section Finishing Room

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8.2

Details of method & techniques, Tools, and equipment

During the general training period at CKT (PVT) LTD Maharagama I followed training at its departments for four weeks studying business process and manufacturing process. For the remaining training period after the general training I was attached to the Work Study department under the supervision of Work-study Manager. Sample room At the sample room I studied planning process of Sample room. First and foremost thing of the sample room is to estimate the fabric consumption of buyers order(s) and planning how to complete the order to get a profitable income. How to develop pattern according to the buyers requirements were then studied. How to decrease consumption using TUKACAD software was also part of the study. At Sample room I worked with planning officers, pattern makers CAD CAM officers and Quality checkers under the supervision of Head of the Sample room. Most importantly I was exposed to a lot of technical words. And I identified new machines and studied where they are used. And I Studied develop the pattern by using TUKACAD, TUKAMARK software. Cutting department In the cutting department I trained how to create a cut plan and to optimizing it to reduce fabric consumption. I was also trained to handle some cutting instruments and studied the technical side of spreader machine, Garber laser cutting machine etc... This department is the main place controlling the WIP. So I studied to how to maintain WIP from the cutting department and learned what causes prevent continuing the lean manufacturing flow and how to solve them. Production department Production department training was a good opportunity for me to work with different types of people. In the production department I was trained to learn the employee satisfaction and motivation in achieving the target of the production line. I studied how it is easier to achieve targets and keep defects rate at an acceptable level by maintaining. Lean manufacturing production flow.

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Quality department Quality departments role is very necessary to achieve company targets and satisfy customer. Statistical quality control tolls are used to control the defects rate of the production line. Quality requirements are changed buyer wise. Studding the quality policy of the each buyer identified the quality requirement of them. However company uses a material system (4points system) when inspecting fabric Ralls. Individual roll point=Inspected meterCut able width(m) o Laboratory In the laboratory I was trained to test fabric shrinkage, color fastness using method of rubbing, color fastness to perspiration, phenolic yellowing test, print durability, and calculate GSM (Grams per square meter).
100

point/100m2

Maintaining department In the Maintaining department I was trained to identify the machine, machine parts and repairing, and safety side of the factory and machine operators.

Work Study department Main technique I trained in the Work Study department was Work standardization. Standard work sheets are used as the visual guide line to improve the employee skills and efficiency continuously. Work study officer also can control WIP by preparing lay out, operation breakdown, controlling bottle neck of the line. To create correct lay out use SMV, Takt time, cycle time, time study, Skill inventory, line balancing, attachment, ergonomics etc.

Lean department In the lean department I studied all the lean tools that were explained in this report in detail.

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8.3

Details of operations, process and Procedures Learned

During this internship of six months, different activities have been performed at garments manufacturing Company with dedication. As mentioned above, internship had been really a period of gaining experience. The experience gained during my internship has been categorized into several areas and described along with their related tasks performed under different activities. During studying overall manufacturing and business proses, the sub process such as cut planning, quality policy, production planning etc. also studied experiencing the practical situation. 8.4 Detailed of new Learning- theoretically and practically

For the most part of my industrial training was with work study department by studying having experience of Work Study (George, 1992). Work Study means the time and motion study: an analysis of a specific job in an effort to find the most efficient method in terms of time and effort. Method study, activity sampling, quality control tolls, inventory control methods, SMV, ergonomics etc. were learned under the work study theory. Factory efficiency also created using SMV. SMV can be calculate by analyzing pass data, observation time, using software (sew easy/GSD), rated activity sampling etc. = + This allowance is changed by company regulations. Basic Time= Line Target=
standard Time 60

Then I was trained how to apply this theory in real life situation. Especially in real life situation found some problem getting target, line balancing, WIP maintaining etc. practically followed form feeding new line until it achieve the targeted efficiency solving problem and deploying work study theories.

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8.5

Issues and Challenges Encountered and Action Taken to Overcome

In this training period I worked in various types of department and various types of people. Some people dislike working with the trainee or they have no any time to allocate for training us. So trained under the guidance of such a people was very hard. As well when collecting data some workers do not like to support it or provide some data of them. Facing such issues of training period my Industrial training and research were carried out successfully

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REFERENCES
Abdulmalek, F.A. and Rajgopal, J. (2007). Analyzing the benefits of Lean Manufacturing and Value Stream Mapping via simulation: a process sector case study, International Journal of Production Economics, Vol. 107, pp. 223-36. Alexander C. (2012) What Are the Benefits of Value Stream Mapping: http://www.ehow.com/list_6624878_benefits-value-streammapping_.html#ixzz2FFoUjPf1, Accessed on 12 December, 2012. Campbell, R.J,( 1995) Management Cycle Time, Management Accounting, Vol.76 No.7,pp.34-35, Denise R. (2011) Lean production and organization: The link between suply chain and sustainalbe development: IAE de Lyon, Universit, version 1 Darren D. (2007.) Creating a Future State Value Stream

Map:http://www.emsstrategies.com/dd020107article.html , Accessed on 10 December, 2012. George K. (1992). Introduction to Work Study:4th (revised) Edition, International Labour Office, Geneva. Guy L. C. (2004). Manufacturing Systems Modeling and Analysis: New York Hahrukh A.I. and Jin Z. (2012) Value stream map of complete product: The Ohio State University Columbus, ISBN. OH 43210 Hassanzadeh M.R. (2008). Lead time Reduction: Case study: BEAB elikett & system AB, Hirdaramini Group (2012) history of hirdaramini group of company:

http://www.hirdaramani.com/hirdaramani/www.hirdaramani.com/company/about_us_p hilosophy.html ,Accessed on 16 December, 2012 Ishikawa K., (1968)Guide to Quality Control (Japanese).JUSE Press, Ltd., Tokyo Jeffrey K. L. & David M., (2006).The Toyota Way Field Book: McGrew-Hill, New York

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Kumar B.S. & sampath V.R (2012). Garment Manufacturing through Lean InitiativeAn Empirical Study on WIP Fluctuation in T-Shirt Production Unit: European Journal of Scientific Research,Vol.73 No.2 LeanMan(2012) TIMWOOD7 Seven Wastes: http://leanman.hubpages.com/hub/SevenWastes.html ,Accessed on 14 September, 2012 Marshal Instute (2012) The Benefits of TPM / Total Process

Reliability:http://www.marshallinstitute.com/default.asp.Page=Consulting&Area=OurT PMPhilosphy&Sub=Benefits, Accessed on 16 December, 2012. Nicola, B., Richard, K. and Rosemary, S. SPSS for Psychologists:chapter 7.An

introduction to multiple regression Performing a multiple regression on SPSS: http://www.palgrave.com/pdfs/0333734718.pdf, Accessed on 14 May, 2012 Pettersen, J., 2009. Defining lean production: Some conceptual and practical issues. The TQM Journal, 21(2), 127 - 142. Rathnayake V. & Lanarolle G. (2006). Cellular Lean Model to Reduce WIP Fluctuation in Garment Manufacturing: a process sector case study. Stratergos International A Brief History of (Just-In-Time)

http://www.strategosinc.com/just_in_time.htm , Accessed on 13 December, 2012 Silva S.K.P.N. (2012). Applicability of Value Stream Mapping (VSM) in the Apparel industry in Sri Lanka, Vol, 3 Issue 1 Womack J.P. and Jones D.T, (2003)the machine that changed world: The Triumph of lean production, Rawson Associates, New York, NY, USA. Womack, J.P. and Jones, D.T. (2003).Lean Thinking. 1st Free Press ed., New York: Free Press, pp. 16- 26. www.sagepub.com Probability and the foundations of inferential statistics: chapter 8.introduction to hypothesis testing: http://www.sagepub.com/upm-

data/40007_Chapter8.pdf, Accessed on 14 May, 2012

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Appendix 1
Data sheet of before and after lean implementation Efficiency Needle break Defects Machine break Before After Before Before After After Before After 35.31 43.00 38 33 5.18 2.10 5.54 2.6 32.32 39.70 24 31 4.83 4.20 6.64 4.1 34.80 35.20 82 60 9.30 5.20 4.37 4.2 39.50 37.40 34 43 3.70 2.70 3.65 2.9 28.80 32.70 56 64 6.90 3.70 7.39 4.9 33.70 37.40 117 87 16.10 9.50 5.92 8.6 31.41 38.00 48 61 12.80 6.90 9.35 6.7 32.16 43.00 59 64 7.50 5.70 10.1 4.7 36.08 31.40 129 82 15.20 8.40 10 7.6 31.23 33.56 109 91 12.40 6.90 7.1 6.58 36.41 36.10 88 51 14.69 7.08 5.8 3.32 30.60 35.95 73 35 7.70 5.20 5.99 5.75 38.50 35.40 55 37 9.60 5.65 4.48 3.05 51.40 58.63 76 41 12.40 5.87 6.43 9.5 46.20 43.00 35 31 5.20 1.98 4.95 1.28 Data was collected for 15 manufacturing line for first two weeks in September by turns Data sheet of ANDON tracking band 6 3 10 10 6 3 10 6 3 3 10 6 6 3 10 10 6 3 10 6 3 6 date 20/08 20/08 20/08 17/08 17/08 17/08 16/08 16/08 16/08 15/08 15/08 15/08 14/08 14/08 14/08 13/08 13/08 13/08 10/08 10/08 10/08 09/08 EFF. 0.48939 1.00311 0.44619 0.67913 0.83340 1.00221 0.59765 0.75568 1.02384 0.80393 0.81520 0.80100 0.67942 0.76467 0.75191 0.70977 0.66438 0.81691 0.80435 0.66906 0.81258 0.65189
#

Inventory delay Defects Thread delay 0 0 0 0 0 0 0 0 0 0 1495 0 0 640 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 80 0 0 0 0 0 0 0 40 0 100 0 0 0 0 Hanger delay 0 0 220 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 150 0 0 Other delay 0 0 0 0 0 700 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 580

absent 3 0 2 3 1 0 0 0 0 1 0 0 0 2 1 1 3 2 2 2 3 6

Machine break

0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 285 0 0

Needle break 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0

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10 3 10 3 6 3 6 10 3 6 10 6 10 3 6 3 10 3 6 10 3 10 6 10 3 6 3 6 10 6 10 3 3 10 6 3 10 6 10 6 3 3 10 6 10 6 3 10 6

09/08 09/08 08/08 08/08 08/08 07/08 07/08 07/08 06/08 06/08 06/08 03/08 03/08 03/08 02/08 02/08 02/08 31/07 31/07 31/07 30/07 30/07 30/07 27/07 27/07 27/07 26/07 26/07 26/07 25/07 25/07 25/07 24/07 24/07 24/07 23/07 23/07 23/07 20/07 20/07 20/07 19/07 19/07 19/07 18/07 18/07 18/07 17/07 17/07

0.80073 0.80180 0.80724 0.86325 0.58084 0.56509 0.46832 0.50850 0.55417 0.39526 0.75082 0.36493 0.76854 0.39431 0.23375 0.48398 0.40922 0.39205 0.47509 0.77892 0.90211 0.43616 0.55770 0.48338 0.90127 0.67958 0.80970 0.68075 0.51215 0.67900 0.58228 0.85368 0.82412 0.55502 0.42344 0.71557 0.59745 0.46519 0.47643 0.46324 0.87693 0.69400 0.55400 0.39500 0.56451 0.02283 0.78951 0.68283 0.35082

3 1 2 4 6 4 7 5 6 9 0 10 6 6 8 4 4 4 0 2 0 1 2 2 0 0 0 0 3 1 2 2 2 3 2 2 0 5 3 4 0 5 2 3 0 10 5 4 5

0 0 0 0 360 0 0 2625 0 0 0 0 1080 0 255 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 570 0 0 570 0 0 0 0 0 0 0 0 345 0 0

0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 240 0 0 0 0 0 0 0 621 0 0 0 0 0 0 0 0 0 0 450 0 0 0 330 220 0 0 160 0 0 0

0 0 0 0 0 0 0 0 0 0 0 0 405 0 0 0 0 0 400 0 0 0 0 0 0 0 0 0 1500 0 0 460 0 0 0 0 0 0 650 0 0 0 0 0 1125 0 0 1440 0

0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 480 0 0 0 0 0 0 0 0 0 0 0

0 0 0 0 0 0 0 0 0 0 0 380 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 350 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0

0 0 0 0 0 0 0 0 470 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 120 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 210

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3 17/07 0.86017 0 10 16/07 0.73690 0 6 16/07 0.80355 0 3 16/07 0.62872 0 6 13/07 1.02262 0 10 13/07 0.45291 7 3 13/07 1.05817 0 10 12/07 0.44437 4 6 12/07 1.04265 0 3 12/07 0.49833 5 10 11/07 0.32912 6 6 11/07 1.01286 0 3 11/07 1.02560 0 10 10/07 0.49227 3 6 10/07 0.66033 3 3 10/07 0.49105 3 10 09/07 0.45291 3 6 09/07 0.82698 1 3 09/07 0.82206 0 6 07/07 0.74281 0 3 07/07 1.05530 0 10 07/07 0.75771 2 6 06/07 0.93500 0 3 06/07 0.64200 2 10 06/07 0.60600 3 10 05/07 0.72055 0 6 05/07 0.56173 2 3 05/07 0.94028 0 10 04/07 0.71853 3 6 04/07 0.66571 1 3 04/07 1.07966 0 10 02/07 0.56213 2 6 02/07 0.25991 9 3 02/07 0.59749 3 Data was collected in seconds

0 0 0 0 0 0 0 210 270 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0

690 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 220 0 0 230 0 0 0 0 0 0 880 0 0 0 0

0 0 0 0 0 0 0 1365 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0

0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 90 250 0 0 150 0 0 0 0 0 0 0

0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 320 0 0 0 0 0 0

0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 330 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 120 0

Appendix 2
Statistical Analysis Results The assumptions of multiple regression seem to be valid for interpretation of the model. Residuals lie in the line in probability plot.so residuals are normally distributed. There is no any systematic pattern in residuals plot. So residuals are random.

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Residual Plots for EFF

Normal Probability Plot of the Residuals
Standardized Residual
99.9 99

Residuals Versus the Fitted Values

2 0 -2 -4

Percent

90 50 10 1 0.1

-4

-2 0 2 Standardized Residual

60

80 100 Fitted Value

120

140

Histogram of the Residuals

24

Residuals Versus the Order of the Data

Standardized Residual
2 0 -2 -4

Frequency

18 12 6 0 -3 -2 -1 0 1 Standardized Residual 2

10

20

30

40

50

60

70

80

90 100 110 120

Observation Order

H0: All coefficients are zero Vs H1: There is at least 1 significant coefficient Analysis of Variance Source Regression Residual Error Total DF 5 118 123 SS 38482.9 60801.6 99284.6 MS 7696.6 515.3 F P 14.94 0.000

Since the P value is less than we can reject H0. Therefore we can conclude there are significant factors affecting efficiency of the band within the model. H0: coefficient is significant Vs. H1 Coefficient is not significant
Predictor Constant Total Time(Machine Break downs) Total Time(Needle Breakages) Defects No abs Inventory Delay Coef 67.100 -1.0802 -1.815 1.581 1.886 1.941 SE Coef 8.290 0.4316 1.027 1.112 2.427 0.2392 T 7.91 -2.49 -1.77 1.42 0.78 7.00 P 0.000 0.014 0.001 0.040 0.439 0.070

S = 22.6995 R-Sq = 54.8% R-Sq (adj) = 52.9% From the above P values we can conclude that Machine Breakdown time, Needle Breakage turns and the Defects are significant factors that affect the efficiency of the band. Since P value of No. of absenteeism and Inventory delay are more than significant level (0.05) further those factors will not be considered for multiple regression analysis.

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Cheeking Multicollinearity

Correlations: Efficiency. Absenteeism, Machine break down, Needle break down, defects and delay
Absent Mb Nb defects delay EFF. -0.496 0.730 -0.697 0.030 0.615 0.002 -0.330 0.042 -0.270 0.072 absent Mb Nb defects

0.202 0.039 -0.081 0.886 -0.004 0.972 -0.040 0.688 0.688 0.053 0.498 0.049 0.075 0.550 -0.055 0.581 0.038 0.601 -0.058 0.559

Cell Contents: Pearson correlation P-Value

H0 there is relationship between variables H1 there is no relationship between variables By considering the p-value it can be conclude that there are relationship between dependent variable and machine break down, needle break down. & defects. When consider independent variables p-values except absenteeism and machine break down time other factors P-values are greater than 0.05 significant levels. So
Multicollinearity problem was not occurred. For other factors. When consider Pearson

correlation absent has low coefficient than machine break down. As well ANOVA also reject Absent from the model. So for the multiple regression analysis Absent was not considered as a factor affecting on efficiency. So model was redone including Machine break down, needle breakage, defects.
Revise Multicollinearity checking for modified model

Correlations: Efficiency. Machine break down, Needle break down, defects

Mb Nb Defects EFF. -0.702 0.029 0.615 0.003 -0.330 0.042 Mb Nb

0.688 0.053 0.498 0.051 -0.055 0.581

H0: there is relationship between variables H1: there is no relationship between variables There are no relationship between independent variables.